Defining an account category structure (AC/BR/GM)

Use this procedure to define an account category structure.

  1. Access Define Category Structure (AC08.2).
  2. Specify a name and provide a description in the Category Structure field.
  3. Click Add.
  4. Access Category Structure (AC08.1).
  5. Click Add to add summary account categories to the account category structure. Specify this information:
    Category Type

    Select the type of account category that you are adding to the structure.

    Summary Category

    Specify the summary account category that you are adding to the structure.

    Description

    Provide a description for the summary account category.

    Depth

    Specify the account category depth level for the summary account category.

    Note: You can have only one depth 1 summary account category for each category type. Up to 9 depth levels of account categories are accepted.
    Budget Edit

    Specify or select the type of budget edit for the account category: No edit (N), Detail level (D), or Summary level (S).

    This field is valid only when the Level field on Activity Group (AC00.1), Budget tab is set to Activity-Summary Acct Cat (4).

    Note: The summary level account category budget edit is limited to one level up from the detail account category. You cannot edit any higher.
  6. Select Detail to access Account Category Detail (AC08.3) and assign detail account categories for a summary account category. Specify this information:
    Acct Cat (Account Category)

    Specify or select the detail account category you are adding to the summary account category.

    St (Status)

    Select the status of the account category: Active (A) or Inactive (I). The default setting is Active.

    Bl (Billable)

    Select Yes if the account category is billable. The default setting is No.

    Rev (Revenue)

    Select Yes if the account category is available for revenue recognition. The default setting is No.

    TM (Time or Materials)

    Use this field only with the T&M billing method. Select if the account category is Time (T) or Materials (M). For example, if account category is used to track only time transactions, then select T. If the account category is used to track materials information, then select M. The default setting is Materials.

    Cap (Capitalization)

    Select Yes to capitalize costs collected in the account category. You must set this to Yes and assign asset parameters before running Asset Management Interface (AC160). The default setting is No.

    Markup Percent

    If the account category is billable, then you must specify a billing markup percent.

    Add a markup percent to an account category. The actual costs posted to this account category plus the markup percent becomes the billable/revenue recognition amount. For example:

    $60,000 (Actual Costs) + 15% (Markup) = $69,000 (Billable Amount)

    Note: Use the Mass Add feature to add multiple detail account categories to a summary account category on Account Category Load (AC08.5).
  7. Assign the account category structure to one or more activity groups on Activity Group (AC00.1).
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